Suppose That the Home Country in the Two­sector

question 37

Multiple Choice

Suppose that the Home country in the two­sector
(manufacturing and agriculture) specific­factors model
Has a comparative advantage in agricultural output.
What will happen to the return (rental) on land when
Trade occurs?

• A)It will fall.
• B)It will rise.
• C)It will not change.
• D)It will first fall, then rise.

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The activity of searching for, pursuing, and capturing or killing wild animals for food or sport.

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A large species of deer native to North America and eastern Asia, known for their impressive antlers.

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An individual's intention to give away something as a gift without expecting any compensation in return.

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An individual employed for a temporary period, often to fulfill immediate or seasonal requirements of a business.